A Black Country manufacturer of forklift truck attachments and skips has more than doubled its turnover following funding from
BCRS Business Loans. Brierley Hill-based
Ridgeway Manufacturing Ltd secured funding for a management buy-out in 2022 from the Community Investment Enterprise Facility (CIEF) managed by BCRS Business Loans and has since grown its turnover from £1.6 million to £4 million.
Long-serving company directors Melvyn Heath and Doug Jones took over the business following a management buy-out (MBO) in 2022. This was achieved through a combination of funding from the Community Investment Enterprise Facility (CIEF), and its own funds — BCRS provided Ridgeway Manufacturing with a £175,000 investment required to support the MBO.
Two years later, and with the loan paid off, Ridgeway Manufacturing has gone from strength-to strength, leasing an additional 7,000ft
2 unit on its existing industrial estate to meet customer demand and keep lead times to a minimum, and headcount at the company has increased from 15 to 32 employees including a welding apprentice. Plans are now in place to recruit an additional eight welders and further apprentices in the near future.
Furthermore, the business has retained all 15 of its long-serving members of staff, ensuring that the skills and technical knowledge of its experienced fabricators have remained in the business. Established in 2008, Ridgeway Manufacturing produces forklift truck attachments and roll-on roll-off skips together with bespoke steelwork fabrications, servicing customers around the UK and further afield.
Mr Heath said: “We would recommend BCRS to any business looking to secure funding. Without the support, we wouldn’t have been able to purchase the business. If you have a product or service, and you believe you can do well, go for it. The future looks very bright for us, although it is important that we don’t get too comfortable — we need to push forward and expand into existing markets and venture into new ones.”
Ambitious plans for growthLouise Armstrong, BCRS Business Loans senior business development manager, said: “Melvyn and Doug’s ambitious plans for growth have paid off and I am delighted that BCRS was able to provide the funding they needed for the MBO. It has been great to see the business thrive over the last two years, bringing vital jobs to the area, upskilling its worforce, and innovating with development of a new range of products to target new markets.”
Alastair Davis, Social Investment Scotland CEO, said: “The CIEF fund is all about supporting SMEs to enhance and increase social and economic impact in local communities and the investment in Ridgeway Manufacturing has more than exceeded these objectives. We congratulate Melvyn and Doug on their achievements since taking over Ridgeway Manufacturing and look forward to hearing how they continue to grow and innovate in the future.”
The new CIEF II backed by Lloyds Banking Group and Better Society Capital comes after BCRS Business Loans was appointed as a fund manager for the new £130 million Investment Fund for Wales in November and for the Midlands Engine Investment Fund II, which will deliver a £400 million commitment of new funding for businesses around the Midlands.
Since BCRS was founded as a community development financial institution in 2002, it has provided loans worth more than £90 million to businesses across the West Midlands. A social impact report for the last financial year showed BCRS lent £5.8 million to 72 businesses, safeguarding 675 jobs and creating 186 roles, adding £29.9 million in value to the economy of the West Midlands, surrounding regions and Wales.